According to a new report, the total customer experience management (CEM) and VoC Analytics (voice of the customer) market is expected to grow from $2.68 billion in 2012 to $6.61 billion by 2017, at an estimated CAGR of 19.8 percent between 2012 and 2017.
North America holds the largest share of the global market, 47.6 percent of the overall customer experience management market in 2012 at $1.28 billion; and is expected to reach $2.98 billion by 2017, at a CAGR of 18.5 percent between 2012 and 2017.
The report, published by Markets and Markets, said that the CEM and VoC concept is getting significant traction in the technology market, and is one of the hottest topics today after CRM. The market growth is attributed to enterprises that are projected to apply customer centric approach. This makes sense, given that they have to reach all customer touch points to understand customer feedback, behavior, and expectations and analyze them by using CEM analytics, to derive effective insight for supporting business decisions.
CEM is a solution through which many organizations interact with their customers to understand their experiences related to specific products and services. CEM is done through different tools and techniques such as (Enterprise Feedback Management (EFM), Web analytics, text analysis, and speech analytics. It is the revolutionary step to connect the organizations with their customers. CEM blends customer satisfaction, loyalty, retention, relationship management, user experience, experiential marketing, and customer centricity.
CEM metrics are performance indicators which help to understand how the company is adopting different tools to accomplish customer needs. Companies rely on delighted customers to accomplish market growth while unhappy customers defect brand names and negatively impact business. A company that proactively plans for future growth should invest today to understand its customer experiences. CEM, with the ability to collect VoC and measure and report customer experience data, fills this gap effectively, the report said.